Common knowledge plays an important role in coordination problems and coordination problems are central to many areas of economic policy. In this paper, I review some common-knowledge puzzles culminating in the electronic-mail game. These puzzles may seem distant from practical concerns. However, I then argue why insights derived from this literature are useful in interpreting empirical evidence of how people coordinate under uncertainty and in understanding the role of communication in coordinating behaviour.
|Original language||English (US)|
|Number of pages||13|
|Journal||Oxford Review of Economic Policy|
|State||Published - 2002|
All Science Journal Classification (ASJC) codes
- Economics and Econometrics
- Management, Monitoring, Policy and Law